IMHO, the Chinese government has many odd ideas. They have a 'nationalist' agenda of sorts - they wish to promote their country's industry and whatever. I think that there is some great bonus to having a local partnership to manufacture and sell cars. This is one more step - I reckon it's to push the manufacturers to become more and more Chinese, if you will.

They know that manufacturers really want to be a part of this next big market, and they're willing to make hay whilst the sun shines. No manufacturer wants to fight, and perhaps be punished - someone else would just take their market share, gladly.

Somewhat OT, but if you guys have heard about the big search engine companies agreeing to censor their search results, then you might have an idea what we're dealing with. Everybody seems to think that they've gotta be in it..